Do House Prices Affect Consumption? A Re‐assessment of the Wealth Hypothesis

Datos Bibliográficos

ID9724911
AutoresAnnalisa Cristini (0000-0003-4335-6210, University of Bergamo Italy), Almudena Sevilla (0000-0003-0075-3291, Queen Mary University of London)
Año2014
Volumen81
Número324
Páginas601-625
Fecha de publicación2014-10-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaEconomica (JOURNAL)
Identificadores de la revistaISSN: 0013-0427 • E-ISSN: 1468-0335
EditorialWiley (PUBLISHER • GB)
DOI10.1111/ecca.12098
OpenAlexW2259932134
IdiomaEN
Citas recibidas4
Referencias citadas15

This paper revives the debate in the literature about the relationship between house prices and consumption by exploring conflicting results in the UK. Campbell and Cocco ( ) find that old owners benefit most from a house price increase and young renters least, confirming the so‐called wealth hypothesis. In contrast, Attanasio et al . ( ) find that house prices have the same impact on consumption across age groups. We rule out several potential explanations related to data construction, and provide evidence that the functional form can reconcile the conflicting results in the two papers

Affect (linguistics) · Consumption (sociology) · Contrast (vision) · Economics · House price · Microeconomics · Monetary economics · Public economics · Financial Literacy, Pension, Retirement Analysis · Housing Market and Economics · Housing, Finance, and Neoliberalism · Psychology